How do I enter my K-1 for an s corporation so the tax rate is the new 21% of income? Turbo tax is computing the 20% deduction but not the 21% tax rate.

[Barb1]

My tax return shows the QBI 20% deduction but the tax rate is 33% not 21% on my S corporation income from my K-1. Shouldn't I have both of these on my 2018 tax return?

[JulieCo · Accepted solution]

The 21% tax rate is for C Corporations only.  S Corps are pass through entities and, yes, the income is eligible for a 20% qualified business income deduction, but the income is included along with the rest of your personal income and your total taxable income is taxed at the individual income tax rate.

[Edited 3-15-19|4:33pm]